| 107th Congress | 
               
              
                1/9. Rep.
                  Frank Wolf (R-VA) will be Chairman of the House
                  Appropriations Committee's Subcommittee on Commerce,
                  Justice, State, and the Judiciary (CJS). This Subcommittee has
                  within its jurisdiction most of the executive branch agencies
                  involved in technology related matters, including the FCC,
                  FTC, Securities and Exchange Commission (SEC), Department of
                  Justice (DOJ), and Department of Commerce (DOC). The FCC is evolving
                  from a New Deal era telecom regulator into a broad
                  communications and Internet regulatory agency. The FTC
                  has antitrust authority, and is increasingly becoming involved
                  in online consumer fraud and online privacy issues. The SEC
                  facilitates online stock trading, and polices Internet
                  securities fraud. The DOJ's Antitrust Division
                  brought the Microsoft antitrust case, and handles other
                  antitrust matters. The DOJ also is the location of the NIPC,
                  which alerts of, and responds to, viruses and other threats.
                  The DOJ also has the CCIPS,
                  which on rare occasions prosecutes computer related crimes and
                  intellectual property crimes. The DOC
                  is home to the NTIA,
                  which has spectrum management authority (including a lead role
                  in identifying and allocating spectrum for 3G wireless
                  services), and which awards grants to facilitate broadband
                  Internet access deployment in underserved areas. The DOC is
                  also home to the USPTO,
                  which is funded solely by user fees. For years, the
                  Appropriations Committees, and the Congress, have been
                  diverting some of these fees to subsidize other government
                  programs, over the stringent opposition of the intellectual
                  property communities. In June of 2000 Rep. Wolf voted in favor
                  of Rep. Coble's amendment to reduce the amount of the
                  diversion. Rep. Wolf represents a district in northern
                  Virginia that is home to many high tech workers and tech
                  companies, and can be expected to be more supportive of a high
                  tech agenda than his predecessor.
                   
                  1/9. Rep.
                  Billy Tauzin (R-LA), the newly selected Chairman of the House Commerce Committee
                  named Ken Johnson to be the Communications Director and
                  Spokesman for the Committee. Johnson has been the press
                  assistant in Rep. Tauzin's office for eight years. Prior to
                  that he worked as a journalist, including as a news director,
                  news anchor and political reporter for TV stations.
                   
                  1/9. The Software and
                  Information Industry Association (SIIA) urged the Senate
                  to confirm Rod Paige as Secretary of Education. SIIA
                  President Ken Wasch also advocated dedicating "resources
                  to train a new generation of high-tech workers, including
                  through public-private partnerships that provide opportunities
                  and relevant curriculum" See, release.
                  Paige has been the Superintendent of the Houston Independent
                  School District (HISD) since 1994. He was elected to the HISD
                  Board of Education in 1989 and served as its President in
                  1992. Previously, he was Dean of the College of Education at
                  Texas Southern University.   | 
               
             
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                | New Documents | 
               
              
                USCA:
                  Opinion
                  in ASCENT v. FCC, 1/9 (TXT, USCA).
                   
                  Axcelsis: complaint
                  for patent infringement against Applied Materials, 1/8 (PDF,
                  Axcelsis).
                   
                  CO:
                  announcement
                  of the 6 month negotiation period for the adjustment of
                  royalty rates, 1/9 (TXT, FedReg).
                   
                  SEC: speech
                  by Jackson Day on accounting procedures, 1/8 (HTML, SEC). | 
               
             
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                | Quote of the Day | 
               
              
                "... tortured statutory interpretation ..." 
                   
                  Judge Laurence Silberman, describing the FCC's
                  construction of the Telecom Act of 1996 in his opinion
                  in ASCENT v. FCC, Jan. 9. | 
               
             
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                | News Briefs | 
               
              
                1/9. The U.S.
                  Court of Appeals (DCCir) issued its opinion
                  in ASCENT
                  v. FCC vacating the FCC's order in its SBC
                  Ameritech merger proceeding permitting SBC to offer advanced
                  services, such as DSL, through a separate affiliate. Judge
                  Silberman, writing for a unanimous three judge panel,
                  wrote: "... Congress did not treat advanced services
                  differently from other telecommunications services. ... It did
                  not limit the regulation of telecommunications services to
                  those services that rely on the local loop. For that reason
                  the Commission may not permit an ILEC to avoid § 251(c)
                  obligations as applied to advanced services by setting up a
                  wholly owned affiliate to offer those services. Whether one
                  concludes that the Commission has actually forborne or whether
                  its interpretation of "successor or assign" is
                  unreasonable, the conclusion is the same: The Commission's
                  interpretation of the Act's structure is unreasonable. The
                  order of the Federal Communications Commission is
                  vacated." The ASCENT, a national trade association
                  representing telecommunications providers and resellers,
                  opposed the merger application, and filed a petition for
                  review of the FCC order
                  approving the merger
                  of Ameritech and SBC. The order allowed the merged company to
                  avoid statutory resale obligations on certain advanced
                  telecommunications services by providing those services
                  through a subsidiary. The FCC determined that advanced
                  services are telecommunications services like any others and
                  may not be provided by an ILEC unless the ILEC complies with
                  § 251(c). However, FCC relied on the "successor or
                  assign" language of the statute to create an exception
                  for separate affiliates.
                   
                  1/9. Verizon
                  filed an application with the Pennsylvania Public Utilities
                  Commission in which it stated that it plans to file a Section
                  271 application with the FCC to offer long
                  distance service in the state. See, release.
                   
                  1/9. Novell announced
                  that the U.S. District Court (EDCal)
                  awarded it over $600,000 in a case against Chris Bonner for copyright
                  infringement. Bonner used alias accounts on eBay's auction
                  site to sell unlicensed copies of Novell's Net services
                  software. See, release.
                   
                  1/9. The Copyright
                  Office (CO) published in the Federal Register an announcement
                  of the six month negotiation period for the adjustment of
                  royalty rates and terms for the public performance of
                  copyrighted sound recordings by preexisting subscription
                  services and preexisting satellite digital audio radio
                  services. The announcement also requests parties participating
                  in the negotiations to notify the CO. See, Federal Register,
                  Jan. 9, 2001, Vol. 66, No. 6, pages 1700 - 1701.
                   
                  1/9. The U.S.
                  Court of Appeals (FedCir) heard oral argument in Sunrise
                  Telecom v. Electrodata, Appeal No. 00-1017. This is an
                  appeal from a final judgment of the U.S. District Court (NDCal)
                  in a patent infringement case. The trial court found
                  infringement of a patent concerning hand held telecom line
                  testers. 
                   
                  1/8. Jackson Day, Deputy Chief Accountant of the SEC gave
                  a speech
                  titled "Current Activities of the Office of the Chief
                  Accountant" in which he discussed revenue recognition
                  and other hot issues at the SEC.
                   
                  1/8. The USPTO's Office
                  of Enrollment and Discipline extended from Jan. 5, 2001, to
                  Friday, Jan. 12, 2001, the deadline for filing complete
                  applications for admission to the registration examination
                  being given on April 18, 2001. See, notice
                  [PDF].  | 
               
             
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                | Editor's Note: This column includes all News Briefs
                  added to Tech Law Journal since the last Daily E-Mail Alert.
                  The date indicates when the event occurred, not the date of
                  posting to Tech Law Journal. | 
               
             
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                | New Lawsuits | 
               
              
                | 1/8. Axcelis
                  filed a complaint [PDF]
                  in U.S. District Court (DMass)
                  against Applied
                  Materials alleging patent infringement regarding an
                  invention for making semiconductor devices. Both Axcelis and
                  Applied make ion
                  implantation equipment. Axcelis owns U.S.
                  Patent No. 4,667,111, titled "Accelerator for Ion
                  Implantation", which claims an invention for high energy
                  ion implantation devices using rf LINAC technology. Axcelsis
                  alleges that Applied's recently launched ion implanter called
                  "SWIFT" infringes this patent. Count 1 alleges
                  infringement of the patent in suit. Count 2 alleges tortious
                  interference with contract. Axcelsis alleges that the
                  inventor, Hilton Glavish, signed a contract to "do
                  everything legally possible to aid" Axcelsis and to
                  "obtain and enforce patent protection in all
                  countries", and that Applied caused Glavish to breach
                  this contract, by having him assist in the development of the
                  infringing machine. Count 3 alleges tortious interference with
                  prospective advantageous business relationships. Count 4
                  alleges unfair competition and unfair trade practices.
                  Axcelsis seeks a declaration that Applied has infringed its
                  patent, a preliminary and permanent injunction against
                  infringement, an injunction against  interfering with
                  contractual business relationships and unfair competition, and
                  money damages. Axcelsis is represented by Thomas
                  Holt of the Boston office of the law firm of Kirkpatrick & Lockhart. See
                  also, Axcelis
                  release. | 
               
             
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                | Today | 
               
              
                10:00 AM. Oral argument before the U.S. Court of
                  Appeals (FedCir) in Intellectual Property
                  Development v. TCI Cablevision of California.
                  This is an appeal from a final judgment of the U.S. District
                  Court (CDCal)
                  in a patent infringement case. The patent in suit
                  relates to hybrid coax fiber architecture. The trial court
                  dismissed on the grounds that the appellant lacked standing to
                  sue. Both sides appealed. (The basis upon which the suit is
                  dismissed bears upon the application of six years damages
                  window provided by 35 U.S.C. 286). Location: Federal Circuit,
                  717 Madison Place (on LaFayette Square), Courtroom 402.
                   
                  12:00 NOON - 1:30 PM. The Federal
                  Communications Bar Association's Legislation Committee
                  will host a Brown Bag Lunch. Paula Ford, assistant to
                  Sen. Ernest Hollings (D-SC), and Paul Margie, assistant
                  to Sen. Jay Rockefeller (D-WV) will speak. Location: National
                  Public Radio, 635 Massachusetts Ave. NW. RSVP to kdole@npr.org. | 
              
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